Germany is printing deutsche marks in preparation to leave the euro
common currency, says Philippa Malmgren, a former economics adviser to
George W. Bush.

This information is not new, Deutche Bank's boss confirmed this back in mid July.

"My view is that it is Germany that will have to pull out of the euro,"
Malmgren said at an investors' conference in London recently, according
to the Citywire news website.

"The decision has already been made by the government that leaving the
euro is a possibility. I think they have already got the printing
machines going and are bringing out the old deutsche marks they have
left over from when the euro was introduced."

Malmgren, co-founder of Principalis Asset Management, acknowledged that
leaving the euro would be a radical move that would cause Germany's
export prices to jump, but said German industries are strong enough to
handle price increases, Citywire reported.

Countries leaving currency unions are usually larger, wealthier, and
more democratic and typically have higher inflation than their partners,
according to the report, published by the Monetary Authority of
Singapore.

Malmgren predicts that more eurozone countries will default, causing
deep changes in society, Citywire reported. "It is important to begin
preparing the public to deal with this situation."

Malmgren isnÃ­t the only one saying the euro is in trouble.

"The euro is nearing its ugly end," said Stefan Homburg, head of
Germany's Institute for Public Finance, according to The Telegraph. "A
collapse of monetary union now appears unavoidable."

The Bundestag, Germany's legislature, approved more bailout funds for
Greece but the growing rescue fund is becoming increasingly unpopular in
Germany. Many economists and investment professionals say the fund is
not large enough to save Greece and other eurozone countries from
defaulting.